While the rest of the world was worrying about Europe in 2011, Southeast Asian stock markets quietly booked respectable gains, led by the Philippines, Indonesia and Malaysia.

Investors will undoubtedly continue to favour China and India for some time, but there are now also signs that they are exploring opportunities elsewhere in Asia, and particularly in Southeast Asia.

The outlook is generally positive throughout the region, but Credit Suisse economist Kun Lung Wu wrote in a report this month that Malaysia is likely to continue outperforming its neighbours during the next couple of quarters assuming that a break-up of the eurozone can be avoided, or least postponed...

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